Rutherford County Man Arrested on Sales Tax Evasion and Forgery Charges

NASHVILLE - The Special Investigations Section of the Tennessee Department of Revenue conducted the investigation that led to the indictment and arrest of Habib F. Hanna. Hanna was arrested on Dec. 4 on sales tax evasion and forgery charges.

 

On Dec. 3, 2008, Hanna was indicted by a Rutherford County Grand Jury on two Class E felony counts of Sales Tax Evasion in violation of Tenn. Code Ann. 67-1-1440(g) and two Class E felony counts of Forgery in violation of Tenn. Code Ann. 39-14-114. Bond was set at $12,000. According to the indictment, Hanna filed false and fraudulent documents with the Rutherford County Clerk’s Office on Aug. 18, 2006 when he registered a Javelin boat and again on Jan. 18, 2007 when he registered a Chrysler van. This resulted in Hanna underreporting the sales prices for both items for a combined total of $17,000 and his intentional failure to pay $1,366 in sales tax due to the State of Tennessee. If convicted, Hanna could be sentenced to a maximum of two years in the state penitentiary and fined $3,000 for each Class E felony count.

 

“The Department of Revenue promotes voluntary taxpayer compliance by educating taxpayers, aggressively pursuing criminal sanctions, and demanding accountability when taxpayers engage in fraudulent activity," said Revenue Commissioner Reagan Farr. "This investigation underscores our department's ongoing efforts to enforce Tennessee's tax laws."

 

This case was pursued criminally by the department in cooperation with District Attorney William Whitesell’s Office. Citizens who suspect violations of Tennessee's revenue laws should call the toll-free tax fraud hot line at (800) FRAUDTX (372-8389).

 

The Department of Revenue is responsible for the administration of state tax laws and motor vehicle title and registration laws established by the legislature and the collection of taxes and fees associated with those laws. The Department of Revenue collects approximately 92 percent of total state tax revenue. During the 2007-2008 fiscal year, the department collected $11.2 billion in state taxes and fees. In addition to collecting state taxes, $1.9 billion of local sales tax was collected by the department for local governments during the 2007-2008 fiscal year. Besides collecting taxes, the department enforces the revenue laws fairly and impartially in an effort to encourage voluntary taxpayer compliance. The department also apportions revenue collections for distribution to the various state funds and local units of government. To learn more about the department, log on to www.Tennessee.gov/revenue.

 

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